Reducing .pst file size

I run Outlook 2003 SR1 (from Office 2003) on Windows 2003 SR2.

I completed an operation on Outlook file "one.pst" to reduce its size
by transferring many of its folders to the newly created folder
"two.pst". File one.pst started with 1.2GB, and two.pst started empty.
I moved 970MB from one.pst to two.pst. But, when I checked one.pst's
file size, it had not changed. It was still 1.2GB.

Closing & opening Outlook did not change one.pst's size, and rebooting
did not change its size, either.

Does anyone know what's going on and how to fix it?

You have to manually Compact, in order to retreive free space.
And unless you have a specific reason for reducing the file size, assuming
an OL2003 format pst, the size is not large.
(I'm running a 13gb pst together with 4 archive pst's of 3 - 9gb all open)

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I run Outlook 2003 SR1 (from Office 2003) on Windows 2003 SR2.

I completed an operation on Outlook file "one.pst" to reduce its size
by transferring many of its folders to the newly created folder
"two.pst". File one.pst started with 1.2GB, and two.pst started empty.
I moved 970MB from one.pst to two.pst. But, when I checked one.pst's
file size, it had not changed. It was still 1.2GB.

Closing & opening Outlook did not change one.pst's size, and rebooting
did not change its size, either.

Does anyone know what's going on and how to fix it?